Pakistan Aims for Up to $2 Billion Eurobond Issue Amid Global Debt Market Return

Pakistan is planning to raise up to $2 billion through Eurobonds this fiscal year as it seeks to return to international capital markets and bolster investor confidence. Finance Minister Muhammad Aurangzeb said the planned borrowing marks an effort by Islamabad to diversify its sources of external financing after years of heavy reliance on bilateral and multilateral creditors.

The finance minister pointed out that Pakistan has made significant progress under the $7 billion International Monetary Fund program, with inflation falling, reserves recovering, and fiscal deficits narrowing. However, economic growth remains modest at 3.7 percent for the fiscal year that ended in June.

Aurangzeb also announced that Islamabad is seeking a $10 billion currency swap line from Washington, which he said would serve as a 'confidence signal' to private investors. He emphasized that Pakistan wants to shift its economy away from aid and toward trade, investment, and market-based financing.